Over 326,000 children currently supported by Scottish Child Payment

£1 BILLION paid to help tackle child poverty

New figures, show that as of 31 December 2024, the families of 326,080 children under 16 years of age were receiving vital support from Scottish Child Payment.  

Over £1 billion has now been paid to parents and carers since the payment was introduced in February 2021.  

Scottish Child Payment is unique to Scotland and provides financial support for families, helping with the costs of caring for a child. It is a weekly payment, currently worth £26.70, for every eligible child that a parent or carer looks after who’s under 16 years of age.    

While visiting Craigour Park Primary school in Edinburgh, to talk to parents who receive Scottish Child Payment, Social Justice Secretary Shirley-Anne Somerville said:  “Eradicating child poverty is the Scottish Government’s top priority and a national mission.   

“Our investment in Scottish Child Payment has seen over £1 billion worth of these payments issued by 31 December 2024; that is money directly in the pockets of those families who need it most. 

“Modelling published in February 2024 also estimates that the Scottish Child Payment could keep 60,000 children out of relative poverty this year. 

“Scottish Child Payment is actively improving the lives of hundreds of thousands of children in Scotland – helping their families to access essentials and experiences they might otherwise miss out on because they live on a low income. 

“In the coming year it is forecast we’ll invest a further £471 million, ensuring that this support continues to reach even more families and children who need it.”

https://twitter.com/i/status/1895156126464749904

Head Teacher of Craigour Park Primary, Sally Ketchin, said: “We welcome payments like Scottish Child Payment and Best Start Grants.

“We can see the real difference this money makes to families in our community.” 

CASE STUDY   

Ashley Forbes lives in Glenrothes with her three children.  She said:  “The two-child cap came in for Tax Credits when I was pregnant with my third child. That meant I would be losing £60 a week when the baby was born so, obviously, that was quite a scary moment. It was huge.   

“I wasn’t working and my partner at the time was only working part-time so money wasn’t great. It felt like £60 was so much to lose, you know, when you have a baby with milk and all that stuff to buy.      

“And then when Scottish Child Payment came in, it was a huge relief. I have three kids and they grow so fast. It’s new shoes, new coats and new clothes all the time.   

“My eldest two do swimming as well which is a really important skill that you need in life. We wouldn’t be able to do this stuff without Scottish Child Payment.     

“I think Scottish Child Payment is great. We couldn’t do without it.”   

Child Poverty: Turning the Tide

NEW REPORT BY RESOLUTION FOUNDATION

The Government is due to publish a Child Poverty Strategy later this year, with a promise to bring about “an enduring reduction in child poverty” (write ALEX CLEGG and ADAM CORLETT of The Resolution Foundation).

In this report we focus on the Government’s headline metric of relative child poverty and look at what might be needed to achieve this welcome goal in the face of significant headwinds.

We consider the role of improvements in parental employment and housing affordability, but also of reforms to social security, and we show what is needed to make sure that any gains in this Parliament are not lost in future.

KEY FINDINGS

  • On the Government’s headline measure of relative poverty after housing costs, 4.3 million children (three-in-ten) were living in relative poverty across the UK in 2022-23. On an international measure accounting for both housing and energy costs, the UK’s relative child poverty rate is higher than in any EU or EFTA nation bar Greece.
  • On present policies and our baseline economic forecasts, we project that UK child poverty will rise over this Parliament from an estimated 31 per cent in 2024-25 to reach 33 per cent by 2029-30, its highest rate since 1998-99, and the highest number of children on record, at 4.6 million. This is partly because the outlook includes £3 billion of scheduled welfare cuts, in the form of the ongoing roll out of the two-child limit and family element abolition, and real cuts each year in the value of Local Housing Allowances and the benefit cap.
  • It is right to be ambitious about employment rates and housing supply. Concerted action on these could lower child poverty by 130,000 compared to our base scenario, and would provide fiscal room for new spending (as would higher-than-expected growth more generally). But without changes to social security, poverty would still rise over the Parliament.
  • The child poverty priority should be to abolish the two-child limit, and the benefit cap alongside it, which would take an estimated 500,000 children out of poverty in 2029-30. This would cost £4.5 billion in 2029-30 but is the most efficient anti-poverty measure the Government could take. Turning the two-child limit into a three-child limit (and assuming the benefit cap is still abolished) would have about two-thirds of the impact at two-thirds of the cost.
  • Free School Meal entitlement should be extended to cover all families on Universal Credit, which would take around 100,000 children out of poverty, with money found from within existing departmental spending plans. For further poverty reductions, Local Housing Allowance should be repegged to local rents – rather than remain frozen indefinitely – and Universal Credit’s basic adequacy tackled, for example by reversing the abolition of the ‘family element’. This would reduce child poverty by a further 140,000. These policies could mean that, by 2029-30, child poverty could be around 900,000 lower than in our default projection, at 3.7 million: getting below 4 million for the first time since 2015 outside of 2020-21. And the child poverty rate could be cut to its lowest in four decades, at around 27 per cent, in the highest-ambition scenarios.
  • The ambitious package would have a price tag of around £8.5 billion, falling to £5.5 billion if the extension of free school meals is funded within existing departmental budgets and the Government can succeed in raising employment and building more homes.
  • In the longer-term, family benefit uprating needs to move to tracking average earnings – alongside the State Pension – or else relative child poverty will always tend to rise as social security entitlements fall behind average earnings.

Read Resolution Foundation’s TURNING THE TIDE report:

Scottish government consults on ending the Universal Credit two-child cap

Views sought on flagship policy

The Scottish Government is launching a consultation on its plans to end the two-child cap on benefits.

Eradicating child poverty is the government’s top priority and ministers have committed to ending the limit by April 2026, or sooner if possible. The Child Poverty Action Group estimate that scrapping the two-child cap in Scotland could lift 15,000 children out of poverty. 

The consultation is seeking views from the public and stakeholders about the most effective ways to put systems in place to mitigate the effects of the two-child cap. It asks for views on questions such as whether Social Security Scotland should administer top-up payments.

https://twitter.com/i/status/1892967518219751851

Social Justice Secretary Shirley-Anne Somerville said: “The UK Government has failed to scrap the two child cap despite it being a key driver of child poverty. In the face of such inaction the Scottish Government is determined to end the impact in Scotland. If we can safely get the systems up and running earlier than April 2026, then we will make our first payments earlier – helping to lift thousands more children out of poverty.

“We have launched a consultation calling for people to respond as we look to put the necessary systems in place to achieve our goal. We have made clear to the UK Government what is needed for us to end the impact of this policy and I would urge people and organisations across Scotland to contribute to make their views known.

“The draft 2025-26 budget continues to invest more than £3 billion to policies which tackle poverty and the cost of living for households – and I would hope that would command widespread support across Parliament.

“There is irrefutable evidence that the two child limit is increasing poverty and hardship across the UK. We have repeatedly called on the UK Government to end the two-child cap, and we have been just one of many voices saying the same thing. Until they do so, the Scottish Government will do everything in its power to mitigate the policy, which helps create child poverty.”

The consultation closes on April 18th 2025.

Shelter Scotland: More Children Living in Temporary Accommodation Than Ever Before

A record breaking (and heart-breaking – Ed.) 10,360 children are trapped in often unsuitable temporary accommodation, latest figures from the Scottish Government has revealed.

The number of children in temporary homes has risen for the 10th year* as figures detail the stark reality for thousands of families across Scotland. The statistics cover from 1 April 2024 to 30 September 2024 – during which time the Scottish Government declared a national housing emergency.

It is a national scandal that 7,545 households have been stripped of their rights in only six months, as councils failed to offer a place to those requiring temporary accommodation, also known as gatekeeping.

While Shelter Scotland welcomes the Scottish Government reversing the cuts for housing, it must be clear that funding has returned to the same level as it was in 2022.

The latest figures show:

– 10,360 children living in temporary accommodation on 30 September 2024, an increase of 250 children compared to the previous six months. That’s an increase of 149% since 2014.
– 7,545 instances of failure to offer a place to a household requiring temporary accommodation, also known as
gatekeeping, between 1 April to 30 September 2024. This an increase of 277% in just 6 months or 3.8 x higher. In the 12-month period to September 2024 gatekeeping was at 13,500 recorded cases, a 541% increase compared to the year prior.
– 4,085 breaches of the Unsuitable Accommodation Order between 1 April and 30 September 2024 – a 11% increase compared to the previous six months.
– 16,634 households in temporary accommodation as of 30 September 2024 an increase from 16,330
– 32,272 live homeless cases as of 30 September 2024 an increase from 31,794.

Shelter Scotland is calling on the Scottish Government’s renewed housing budget to focus on reducing the number of children trapped in temporary accommodation, and to ensure local services are fully funded to ensure lifeline housing rights are upheld.

This comes at a time when wider cuts in the public services may push more people closer to the brink of homelessness.

Shelter Scotland Director, Alison Watson, said: “This is the harrowing reality of decades of under-investment in social housing. No child should have to experience homelessness, yet the numbers keep rising to a record-breaking amount and are now staying in temporary accommodation for longer.

“These figures show the direct consequence of the Scottish Government and local authorities failing to prioritise housing and the desperate need for more social homes.

“Everyone deserves the right to be in a safe and secure permanent home where children can thrive. We know children living in unsuitable temporary accommodation can have their mental and physical health detrimentally impacted.

“Children are paying the highest price for the politicians’ failures and the devastating reality of the housing emergency in Scotland. If the Scottish Government is serious about ending child poverty with their new budget, social homes need to be urgently delivered.

“The Scottish Government reversed the brutal cuts to housing, but it needs to acknowledge it brings us to the same amount of funding that we had in 2022. Since then, the number of people living in temporary homes has risen, people are trapped in the system for longer, the number of people rough sleeping has increased dramatically, and the cost of living has skyrocketed.

“The reversal alone will not be enough to end homelessness and there desperately needs to be a long-term plan from politicians, targeting money to the areas where it is most needed.

She added: “The way people are experiencing homelessness is changing with more people becoming homeless and faster than councils can close cases. The Scottish Government need to invest in the areas where applications are the highest. Services to support families at risk of homelessness also desperately need funding from local authorities.

“Children in Scotland forced to live in temporary homes don’t need excuses, they need action if the Scottish Government want to end child poverty in their next budget.”

See full report: https://www.gov.scot/publications/homelessness-in-scotland-update-to-30-september-2024/pages/main-findings-april-to-september-2024/

*Excluding pandemic periods of lockdown 2020-mid 2021

Fairer funding for charities

More than £60 million for pilot projects focusing on essential services and eradicating child poverty

A new Fairer Funding pilot to deliver on the Scottish Government’s top priority of eradicating child poverty will provide additional multi-year funding in the form of 45 grants to organisations across Scotland.

The funding, subject to budget approval, will support projects in areas including health, education, poverty and culture and have a total value of £61.7 million in 2025-26 and £63.2 million in 2026- 27.

Speaking on her visit today to the Gathering, the largest third sector event in the UK, Social Justice Secretary Shirley-Anne Somerville said: “I know many charities, faced with rising costs and falling donations, need more security and stability to enable them to plan and develop.

“Child poverty, in particular, requires longer-term interventions to help achieve the solutions we want to see. For that, the third sector needs financial stability and certainty. That’s why I have prioritised delivering on our commitment to provide more multi-year funding where we can to support the vital work of the third sector in Scotland, as part of our fairer funding approach.

“The pilot is the first step in mainstreaming multi-year funding agreements more widely across the third sector. It will give organisations the ability to plan for the future and make the most of their resources.

“The pilot’s focus on grants connected to tackling child poverty and the delivery of frontline services to our communities will maximise the impact of longer term funding and support the delivery of our number one priority, eradicating child poverty.”  

Scottish Council for Voluntary Organisations (SCVO) Chief Executive Anna Fowlie said: “The voluntary sector has a crucial role to play in delivering essential services across Scotland that people and communities rely on.

Multi-year funding models are vital, providing security to voluntary organisations and, crucially, allowing them to get on and deliver for people and communities.

 “We welcome the Scottish Government’s commitment to piloting multi-year funding for a range of voluntary organisations across Scotland – a first step, we hope, towards rolling out Fair Funding principles to voluntary sector funding.”

Organisations to receive multi-year funding for 2025/26 and 2026/27

Social Justice

Scottish Refugee Council

Scottish Empty Homes Partnership

Homeless Network Scotland

Housing Options Scotland

Poverty Alliance

CentreStage – Social Innovation Partnership

COVEY – Social Innovation Partnership

Flexibility Works – Social Innovation Partnership

Heavy Sound – Social Innovation Partnership

MsMissMrs – Social Innovation Partnership

Street Soccer – Social Innovation Partnership

WorkingRite – Social Innovation Partnership

MCR Pathways

Economy and Gaelic

Scottish Mountain Rescue

Constitution, External Affairs and Culture

Youth Music Initiative

Sistema Scotland

Health and Social Care

Cruse Scotland Bereavement Helpline

Penumbra Self-harm support pilots

BASICS Funding PHEC BASICS Scotland

The Listening Service Samaritans

Communities Mental Health and Wellbeing Fund for adults

Communities Mental Health and Wellbeing Fund Management

Autism Advice Line Scottish Autism

Young Scot Carer support funding

Active Play Development Programme Inspiring Scotland

Active Play Development Programme Actify

Community Food Networks Edinburgh Community Food

Community Food Networks Lanarkshire Community Food and Health Partnership

Community Food Networks Community Food Initiative North East

Community Food Networks Glasgow Community Food Network

Drugs Policy: Core Funding Scottish Families Affected by Alcohol and Drugs

Drugs Policy: Family Recovery Initiative Fund Scottish Families Affected by Alcohol and Drugs

Fetal Alcohol Spectrum Disorder FASD Hub Scotland Service 

Finance and Local Government

Planning Aid Scotland

Education and Skills

Dyslexia Scotland

Children’s Advocacy for Children’s Hearings

Who Cares Scotland

Inspiring Scotland

Children in Scotland Enquire National Advice and Information Service on Additional Support for Learning

Scottish Book Trust Bookbug

Access to Childcare Fund

Scottish Association of Minority Ethnic Educators

Justice and Home Affairs

Victim Centred Approach Fund

Apex Scotland

Medics Against Violence

These pilots are in addition to the multi-year funding announced last week by Creative Scotland, which has been funded as part of a record £34 million uplift for culture in the draft 2025-26 Scottish Budget.

Child Poverty Act focused minds, but greater collaboration needed, finds Holyrood Committee

A law passed by the Scottish Parliament in 2017, has focused minds on work to reduce child poverty, but more collaboration is needed for the Scottish Government to continue to make progress, according to a report from Holyrood’s Social Justice and Social Security Committee.

The Child Poverty (Scotland) Act was passed by the Parliament in 2017 and aimed to tackle, report on and measure child poverty. It also established targets relating to the eradication of child poverty by 2030. The Scottish Government will publish statistics that will outline whether it has met its interim targets in March.

The Committee wanted to understand the impact of the Act, and in particular the difference that has been made by having a framework for reducing child poverty set in law.

In its report on post-legislative scrutiny of the Act, the Committee has found that, while the Act has instilled an appetite and motivation to tackle child poverty, something most clearly demonstrated in the establishment of the Scottish Child Payment, it has not led to sustained progress towards reaching the Scottish Government’s 2030 targets.

The report outlines a series of recommendations that could help the Government make further progress, including encouraging a culture of collaborative working across portfolios and engaging with local authorities to understand whether they can reach the targets and what further resources they might need.

The Committee also calls on the Government to share details on how its own research into child poverty in rural areas and in the islands has impacted on the Scottish Government’s approach.

Collette Stevenson MSP, Convener of the Social Justice and Social Security Committee, said: “Our scrutiny has shown that the Child Poverty Act has helped ensure the Scottish Government keeps its aim of eradicating child poverty focused in people’s minds.

“However, it looks as though more progress can be made towards achieving the targets that were set out in the act, so we are calling for change on a bigger scale to happen.

“We’re keen to hear more from the Scottish Government about how it intends to do this so that it can meet its targets and make a real difference to the daily life of children and families in Scotland.”

UK Poverty Report 2025: RoSPA highlights increased accident risk for lowest-income Britons

  • Out of four nations only Scotland will see child poverty rates fall by 2029 – JRF
  • Deprivation increases both the likelihood and severity of accidents – RoSPA
  • A joined-up approach is needed to address uneven level of accidents among deprived Britons

Following the release of the Joseph Rowntree Foundation (JRF), the Royal Society for the Prevention of Accidents (RoSPA) is urging the UK government to adopt comprehensive strategies to tackle child poverty and preventable accidents.

Released this week, the Joseph Rowntree Foundation’s UK Poverty 2025 Report reveals that without significant investment in social security, the UK government will not ease child poverty by the end of this Parliament. It also highlights that child poverty rates are significantly higher in England (30 per cent) and Wales (29 per cent) compared to Scotland (24 per cent) and Northern Ireland (23 per cent).

It emphasises the critical role of specific welfare policies, such as the Scottish Child Payment, in reducing poverty, with Scotland projected to see a decrease in child poverty rates by 2029. The report calls for targeted policy interventions to address these disparities and improve living standards across the UK.

The release follows the recent publication of RoSPA’s ‘Safer Lives, Stronger Nation’ campaign which showed that accidental deaths in the UK have reached an all-time high, with rates increasing by 42% over the last decade.

Accidents are now the second biggest killer of people under 40. In England alone, accident-related hospital admissions for serious injuries have risen by 48% in the past twenty years, hospitalising over 700,000 people annually.

The economic cost of preventable accidents is staggering, amounting to £12 billion every year due to lost working days and NHS medical care.

Dr. James Broun, Research Manager at RoSPA and author of ‘Safer Lives, Stronger Nation’, said:Our major review of UK accident data has already uncovered the full scale and true cost of accidents for the very first time.

“We found that deprivation significantly increases both the likelihood and severity of accidents, compounding existing inequalities and creating a vicious cycle of disadvantage.

“This is why we are alarmed by the Joseph Rowntree Foundation’s findings and support their call for Government action to reduce child poverty, while we reiterate our own call for a national accident prevention strategy to help further reduce economic and health inequalities.”

UK Child Poverty Report 2025

The JRF’s latest UK Poverty shows that under current projections, only Scotland will see a reduction in child poverty rates by 2029, largely due to Scotland-specific welfare policies.

Key findings include:

  • Child poverty rates in Scotland are projected to fall, while rates in England and Wales remain high.
  • If the rest of the UK matched Scotland’s reduction in child poverty, 800,000 fewer children would be in poverty.
  • Specific welfare policies, such as the Scottish Child Payment, are crucial in reducing child poverty.

 Deprivation and accident risk

RoSPA notes that deprivation is often linked to an increased risk of accidents. Factors such as unsafe housing, proximity to busy roads, and hazardous work conditions contribute to this risk. Moreover, economic deprivation is associated with health inequalities, which can exacerbate the severity of injuries from accidents.

Key points include:

  • Deprivation increases both the likelihood and severity of accidents.
  • Health inequalities linked to economic deprivation can compound injury severity.
  • Accidents can further entrench material inequalities by disrupting education and employment, creating a vicious cycle of disadvantage.

A Call for a National Accident Prevention Strategy

RoSPA calls for a National Accident Prevention Strategy to address these issues comprehensively. Such a strategy would focus on improving housing safety, reducing road traffic risks, and ensuring safer working conditions, particularly for those in hazardous jobs.

The Need for Government Action

Both JRF and RoSPA stress the urgency of government intervention. A credible child poverty strategy must include policies that rebuild the social security system, while a national accident prevention strategy is essential to reduce preventable injuries and deaths.

By linking these strategies, the UK can create a more holistic approach to improving public health and social welfare, ensuring that both poverty and preventable accidents are addressed through comprehensive, targeted policies.

Scottish Government: New approaches to eradicating child poverty

Wrap-around support delivering improved outcomes for families

Lessons learned from innovative work with families in Inverclyde are helping deliver new approaches to eradicating child poverty. 

Social Justice Secretary Shirley-Anne Somerville will visit Home-Start Renfrewshire and Inverclyde in Greenock today (Wednesday 29th January) to see work funded under the Scottish Government’s Child Poverty Practice Accelerator Fund, which is helping to reshape services locally and elsewhere in Scotland. 

The Social Justice Secretary will meet staff at the project as well as parents who have benefited from the work which focuses on providing early intervention to support families, particularly those with children under five and those affected by poor mental health.  

Learning from the project is supporting Inverclyde’s Fairer Futures Partnership, which is supporting local services to test and improve how they deliver services to promote family wellbeing, maximise incomes and support people towards education and into sustained employment.   

Ms Somerville said: “Eradicating child poverty is the Scottish Government’s top priority and a national mission.   

“I’m keen to hear more about how whole family, person-centred support is being developed in Inverclyde through the Child Poverty Practice Accelerator Fund and the Fairer Futures Partnership. 

“Through close partnership between Home-Start and Inverclyde Council, this project provides holistic support so that families can maximise their household incomes, and parents can improve their employment prospects through upskilling and volunteering. Putting this kind of vital support in place means that we don’t just help families in a  crisis but enable them to thrive in the longer term. 

“The Child Poverty Practice Accelerator Fund was set up to support local areas to test new ideas and innovate to improve local approaches to eradicating child poverty. I’m pleased to  have the opportunity to learn more about how this funding is informing Inverclyde’s overall approach to supporting families out of poverty.” 

Swinney: Removing two child limit will help thousands

Progress to eradicate child poverty

Thousands of families will be helped as part of the Scottish Government’s plans to remove the two child benefit cap, First Minister John Swinney has said as he repeated calls for the UK Government to end the policy immediately.

The First Minister made clear that if the UK Government was to scrap the policy, the investment the Scottish Government intends to allocate to its mitigation would be used on other measures to tackle eradicate child poverty.

At an event in Stirling hosted by The Robertson Trust, Mr Swinney addressed representatives from community and third sector organisations across Scotland and set out his vision for a country in which no child lives in poverty.

The First Minister said: “The eradication of child poverty is my government’s number one priority, and I want it also to become our nation’s number one goal.

“The cornerstone of our approach is investment in more dignified and generous social security support.

“It includes the resources we need to build the systems that will allow us to effectively remove the two child cap for families in Scotland.

“I can offer two guarantees today. Firstly, if we are able to safely get the systems up and running in this coming year, the first payments will be made in this coming year – helping to lift thousands more children out of poverty.

“And secondly, if the UK government does the right thing and abolishes the two-child cap across the UK, the resources we have committed to this policy will continue to be used on measures to eradicate child poverty in Scotland.”

Vision for eradicating child poverty in Scotland: First Minister’s speech – 15 January 2025 – gov.scot

CPAG, the Child Poverty Action Group, estimates that mitigating the two-child limit in Scotland could lift around 15,000 children out of poverty: 

https://cpag.org.uk/sites/default/files/2024-12/Cost_of_a_Child_Scotland_2024.pdf

The Scottish Fiscal Commission has also published estimates of the number of children in Scotland impacted by the two-child limit this year, and who would benefit from mitigation were it to commence in 2026-27 (39,000 in 2025-26, rising to 42,000 in 2026-27. 

Mitigating the two-child limit and the Scottish Budget | Scottish Fiscal Commission.

Gordon Macdonald MSP: Budget will deliver meaningful progress to eradicate child poverty in Edinburgh

Gordon Macdonald MSP said the Scottish Budget an “enormous step forward” in achieving the Scottish Government’s mission of eradicating child poverty in Edinburgh as progress begins in ending Labour’s two-child cap.

The two-child cap was introduced by the Tories as part of their programme of austerity and has been subsequently adopted by Labour as one of their policies, despite their previous promises to scrap it.

Across Scotland the cap impacts 83,000 children and 26,000 households – that’s 1,600 families in Edinburgh alone. By ending it the SNP government will lift 15,000 children out of poverty.

Commenting, the SNP MSP for Edinburgh Pentlands said: “The two-child cap is an abhorrent policy that has harmed 1,600 households in Edinburgh.

“Yet it is another Tory policy which Labour has adopted as one of their own.

“With 83,000 children across Scotland impacted, it is right that this SNP Government has made the decision to end the cap once and for all – lifting 15,000 children out of poverty and making progress on the key mission of this government: to eradicate child poverty once and for all.

“It is disappointing that the Labour UK government has chosen to maintain the cap, and I would urge their colleagues in the Scottish Parliament to choose differently and back this budget; made for Scotland, by Scotland.”